Finance Minister Jim Flaherty says he will keep six per cent annual increases in health transfers in place through 2017, then tie payments to economic growth.
Alison Redford told a Calgary rotary club that Flaherty's plan acknowledges for the first time that Alberta needs to be treated equally on a per capita basis.
Alberta currently receives a lower per-capita transfer payment from the federal government than other provinces.
Redford said the disparity costs her province an additional $900 million a year.
The province hasn't run the numbers yet, but she expects Alberta's books will see a net improvement with the new formula.
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